Nintendo reported quarterly earnings on November 5 for the period ended September, with profit declining largely due to a thin lineup of major new titles and rising component costs for the Switch 2. Second-quarter operating profit fell 16% year-on-year to 73.9 billion yen (about $468 million), missing the analysts' average estimate of 88.1 billion yen and undershooting market expectations of flat growth. Quarterly revenue slid 15% year-on-year, a steeper decline than anticipated. In the six months through September, Switch 2 sales reached 6.49 million units, down 37% year-on-year. The results deepened investor worries that momentum may be fading as the Switch 2 enters its second year on the market. The AI boom has pushed up component costs, Nintendo has raised hardware prices, and consumers remain hesitant about buying new games. On top of that, Nintendo faces a daunting year-end holiday season, with "Grand Theft Auto VI" set to launch on November 19 and expected to capture global entertainment audiences' attention and vie for their spending.